The Federal Reserve is mandated by Congress to achieve all of the following EXCEPT
Group of answer choices
maintain moderate long-term interest rates
maintain stable prices
maintain low tax rates
promote economic growth
Option C is correct.
The Federal Reserve is mandated by Congress to achieve all of the following EXCEPT maintain low tax rates
The Federal Reserve is mandated by Congress to achieve all of the following EXCEPT Group of...
“The Federal Reserve sets U.S. monetary policy in accordance with its mandate from Congress: to promote maximum employment, stable prices, and moderate long-term interest rates in the U.S. economy”. “The Federal Reserve achieves these goals by managing the level of short-term interest rates—specifically, by setting a target (or target range) for the federal funds rate, which is an overnight, unsecured, interbank borrowing rate. The level of short-term interest rates then influences the availability and cost of credit in the economy,...
The Federal Reserve System (the 'Fed) was created by the Federal Reserve Act, passed by Congress in 1913. and began operations in 1914. Like all central banks, the Federal Reserve is a government agency. All of the following statements are true about the Fed except O the Federal Reserve is the "lender of last resort Oit promotes public goals such as economic growth, low inflation, and the smooth operation of financial markets O it focuses on making a profit like...
Question 16 The Federal Reserve uses a variety of monetary policy tools to achieve which of the following goal(s)? a bull market, new companies, and fair trade low unemployment, price stability and sustainable economic growth full employment, zero inflation and and a trade surplus high stock prices, rapid growth, and a trade surplus
The Federal Reserve adjusts interest rates indirectly through which of tools? Group of answer choices federal tax policy reserve requirement open market operations discount rate
Which of the following statements is positive? Group of answer choices When the Federal Reserve increases the money supply, interest rates decrease. Large budget deficits should be avoided. A tax cut that benefits low-income households is acceptable. Higher taxes are needed to support education. The standard of living in an economy is best measured by: Group of answer choices output per person. average labor productivity. total output. the inflation rate. If average labor productivity increases while population and the number...
Which of the following is not one of The Federal Reserve’s primary goals? Maintain full employment. Keep interest rates low. Maintain price levels. Maintain long-term economic growth.
Compare and contrast the consequences – intended and unintended – of different monetary policy actions of the Federal Reserve Board to achieve macroeconomic goals of stable prices, low unemployment, and economic growth. What effects can occur with different Federal Reserve actions (such as increasing money supply or raising interest rates)?
2. The structure of the Federal Reserve Aa Aa Which of the following are functions of the Federal Reserve? Check all that apply. Regulating the money supply Lending money directly to households and firms Setting the interest rate on home mortgages and auto loans Setting reserve requirements Issuing currency Which of the following are true of using money supply targets to achieve monetary policy goals? It tends to emphasize low inflation over low unemployment due to political pressures The Fed...
Why might long-term interest rates go down at the same time that the Federal Reserve pushes short-term rates up? Faster expected population growth Expectations of a recession Faster expected economic growth Higher inflation expectations
Which of the following was a key takeaway from Wednesday's Federal Reserve statements? Group of answer choices The Fed cut the Fed Funds rate by 25bps for the third time in 2019 The Fed raised the Fed Funds rate by 25 bps due to strong economic growth in the U.S., full employment, rising wages, and a strong stock market. The Fed had a dovish statement, but held the Fed Funds rate unchanged The Fed Cut rates for the first time...